TSMC Q2: 60.7% jump in net profit; Taiwanese chipmaker beats revenue forecast – OXBIG NEWS NETWORK-OxBig News Network

Taiwanese chipmaker TSMC posted a stronger-than-expected 60.7% jump in second-quarter net profit, fuelled by strong demand for artificial intelligence technology.Taiwan Semiconductor Manufacturing Company, the world’s largest contract chipmaker and a key supplier to tech heavyweights like Nvidia and Apple, posted a net profit of NT $398.3 billion ($13.5 billion) for the three months to June. That figure comfortably surpassed analyst expectations of NT$376.97 billion, according to a Bloomberg.The company also exceeded forecasts on revenue, which rose 39% year-on-year in the second quarter.Chips produced by TSMC are crucial to the development and deployment of generative AI, a sector that has rapidly expanded and is reshaping the global economy.Nvidia, one of TSMC’s major clients, announced earlier this week that it will resume sales of its H20 AI chips to China after the US government agreed to lift export licensing restrictions that had temporarily halted shipments.However, the strong financial results come amid renewed geopolitical and trade tensions. US president Donald Trump has revived threats of sweeping tariffs, including levies on pharmaceutical products and semiconductors.TSMC chairman and chief executive CC Wei acknowledged last month that the company “may be affected” if tariffs drive up chip prices and reduce demand, but he expressed confidence in the company’s outlook, adding: “Our business will still be very good.”Taiwanese officials are currently in talks with Washington, trying to avoid the imposition of a proposed 32% tariff on Taiwanese exports to the US if a deal is not reached by 1 August.Taipei, in a bid to strengthen its position, has committed to boosting investments in the United States, purchasing more American energy, and raising its own defence spending.